Why is Guangzhou Tech-Long Packing Machine Co., Ltd. ?
1
High Debt Company with a Debt to Equity ratio (avg) at times
- Poor long term growth as Net Sales has grown by an annual rate of 20.56% and Operating profit at 47.02% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
- The company has been able to generate a Return on Equity (avg) of 5.66% signifying low profitability per unit of shareholders funds
2
The company has declared Positive results for the last 8 consecutive quarters
- NET SALES(HY) At CNY 948.54 MM has Grown at 58.13%
- ROCE(HY) Highest at 12.96%
- RAW MATERIAL COST(Y) Fallen by -7.93% (YoY)
3
With ROE of 16.47%, it has a attractive valuation with a 2.37 Price to Book Value
- Over the past year, while the stock has generated a return of 43.72%, its profits have risen by 147.8% ; the PEG ratio of the company is 0.1
- At the current price, the company has a high dividend yield of 0.5
4
Market Beating Performance
- The stock has generated a return of 43.72% in the last 1 year, much higher than market (China Shanghai Composite) returns of 15.18%
How much should you hold?
- Overall Portfolio exposure to Guangzhou Tech-Long Packing Machine Co., Ltd. should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Guangzhou Tech-Long Packing Machine Co., Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Guangzhou Tech-Long Packing Machine Co., Ltd.
57.47%
1.64
47.65%
China Shanghai Composite
14.77%
1.01
15.10%
Quality key factors
Factor
Value
Sales Growth (5y)
20.56%
EBIT Growth (5y)
47.02%
EBIT to Interest (avg)
3.19
Debt to EBITDA (avg)
2.62
Net Debt to Equity (avg)
-0.16
Sales to Capital Employed (avg)
1.22
Tax Ratio
21.64%
Dividend Payout Ratio
14.63%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
5.30%
ROE (avg)
5.66%
Valuation Key Factors 
Factor
Value
P/E Ratio
14
Industry P/E
Price to Book Value
2.37
EV to EBIT
11.47
EV to EBITDA
8.87
EV to Capital Employed
2.45
EV to Sales
1.00
PEG Ratio
0.10
Dividend Yield
0.54%
ROCE (Latest)
21.35%
ROE (Latest)
16.47%
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
No Trend
Technical Movement
22What is working for the Company
NET SALES(HY)
At CNY 948.54 MM has Grown at 58.13%
ROCE(HY)
Highest at 12.96%
RAW MATERIAL COST(Y)
Fallen by -7.93% (YoY
CASH AND EQV(HY)
Highest at CNY 1,208.15 MM
NET PROFIT(Q)
Highest at CNY 29.49 MM
EPS(Q)
Highest at CNY 0.15
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Here's what is working for Guangzhou Tech-Long Packing Machine Co., Ltd.
Net Sales
At CNY 948.54 MM has Grown at 58.13%
Year on Year (YoY)MOJO Watch
Near term sales trend is very positive
Net Sales (CNY MM)
Net Profit
Highest at CNY 29.49 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
Net Profit
At CNY 29.49 MM has Grown at 69.04%
over average net sales of the previous four periods of CNY 17.45 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (CNY MM)
EPS
Highest at CNY 0.15
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (CNY)
Cash and Eqv
Highest at CNY 1,208.15 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -7.93% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales






